CARS, RACE funding veto worries local auto group

The Chamber of Automotive Manufacturers of the Philippines Inc. (CAMPI) expressed concern over the recent veto of the funding for the government's vehicle manufacturing incentives programs, emphasizing their importance in the development of the local automotive industry.

- By LOUELLA DESIDERIO

“Recent developments have raised serious concerns on the funding for the financial incentive commitments granted under the Comprehensive Automotive Resurgence Strategy (CARS) program,” CAMPI said in a statement.

“The participants should be able to receive their incentives based on their actual performance that has already generated economic benefits,” the group also said.

CAMPI also said the Revitalizing the Automotive Industry for Competitiveness Enhancement (RACE) program, which is intended to serve as the successor program of the CARS, is an important program and should be implemented soon.

The statement was issued following President Marcos’ veto of the P4.32-billion funding for the CARS program and P250 million for the RACE program under the unprogrammed appropriations in this year’s budget.

Under the CARS program, the government promised to provide incentives to encourage local vehicle manufacturing.